Is it proper to appraise partial interests based on a 1.5 year old appraisal, when a more current appraisal exists
I appraised an industrial park for a property owner 1.5 years ago. The function of the appraisal was internal decision making; not lending. This client has now asked me to prepare an appraisal of the 50% undivided partial interests in the property for gift tax purposes. I have experience with this type of assigment. However, the client has provided me with a copy of an appraisal of the property prepared for his lender (by anohter appraiser) approximately four months ago. This more recent appraisal reports a higher value estimate, which is not surprising, since economic conditions have improved.
My question is this; should I prepare my appraisal of the partial interests based on my apprasial of the property 1.5 years ago, or should I base this current appraisal on the more recent appraisal, wihich was prepared by another appraiser? And if I should base my analysis on the more current appraisal, how should I do that to ensure compliance with USPAP? Thank you for your assistance.
Open Sep 06, 2016 - 09:29 AM
Appraisal prepared by others